Six departments (e.g. NDRC, MIIT, etc.) jointly issued a notice to promote high-end, diversified and low-carbon development of modern coal chemical industry. Capacity expansion of modern coal chemical industry and new coal consumption will be supervised more strictly, according to the notice, which cancels a provision – i.e. for each modern coal chemical industry demonstration zone, amount of coal converted could increase 20 million tons, at most, from 2016 to 2020 – in Modern Coal Chemical Industry Innovation Development Plan (Plan).

Coal for power generation and heating shall not be reduced to construct modern coal chemical projects. New coal to olefin and coal to p-xylene projects – excluded in the Plan – shall be examined and approved by provincial-level governments after they are brought into the Plan based on assessment of related departments like NDRC, MIIT, etc. New coal to methanol projects, each boasting capacity of more than 1 million t/a, shall also be examined and approved by provincial-level governments. Further, the notice calls for propelling technical innovation, regarding key equipment, products (e.g. high-performance composite catalysts, and one-step process synthesis gas to olefin), etc.